"The phenomenon of remittances has significant gendered dimensions. Women
migrants regularly and consistently remit a greater proportion of their
earnings than their male counterparts. [5] However, since women typically
earn less for equal work, and are also found in lower paying occupations,
their remittances usually amount to less than men's remittances."

 

 

 

 

Women, Remittances and Development

Remittances play a largely unacknowledged role in the development of poor
countries. Even more unacknowledged is the role of women migrants in
development. What are the gender dimensions of remittances?

By Kathambi Kinoti - AWID

Millions of people migrate every year from poor countries seeking better
economic conditions for themselves and their families. International
migration has a significant impact on the economies of workers' host
countries and their countries of origin. It has often been regarded as a
lopsided arrangement, with the rich country benefiting from the skills and
relatively inexpensive labour of migrants and the poor country losing
these. The migration of nurses is one example. The increasing need for
nurses in countries such as the United States, Canada and the United
Kingdom has created better financial opportunities for nurses from poor
countries. In 2000, twice as many nurses left Ghana as graduated, and it is
estimated that in 2003, 85% of Filipino nurses were working abroad. This
migration of nurses has created severe deficits in poor countries. In 2002
it was estimated that Ghana had a nurse vacancy rate of 57%. [1]

Although international migration does have some adverse effects on poor
countries, it also has benefits, the scale of which have only recently
begun to be recognized. For many countries, remittances by migrant workers
exceed Overseas Development Assistance (ODA). According to the
International Labour Organization (ILO), in 1999, developing countries
received USD 65 billion in official remittances, exceeding the USD 54
billion of ODA in the same year. [2] This figure does not take into account
remittances transmitted through informal mechanisms such as family, friends
or transfer agents.

Remittances and Development

The effect of remittances on the development of poor countries can be
examined at three levels; the household, the community and the wider
economy. [3] Most remittances primarily and directly benefit the household
and family of the remitter. These go towards supplementing or providing the
mainstay of the household budget, health care, educating family members,
starting businesses and buying property. Apart from sending money to their
own families, sometimes migrants pool their funds for community projects
such as the construction of schools or community centres. Some governments
encourage social investments by these 'hometown associations' by matching
migrants' contributions. For instance, a programme in the Mexican state of
Zacatecas has completed over 400 projects locally, with migrants investing
USD 4.5 billion and the government contributing USD 3 for every dollar that
the migrants give. [4] 

At a wider economic level, there has been little exploration of the
possibility of channeling into national or global development processes. In
fact, some governments have measures that discourage remittances, at least
documented remittances, by insisting that they be channeled through central
banks or be subject to taxation.

Apart from financial remittances, migration also facilitates social
remittances of knowledge, skills and perspectives.

Women and Remittances

The phenomenon of remittances has significant gendered dimensions. Women
migrants regularly and consistently remit a greater proportion of their
earnings than their male counterparts. [5] However, since women typically
earn less for equal work, and are also found in lower paying occupations,
their remittances usually amount to less than men's remittances. There are
some exceptions such as Sri Lanka where in 1999 women contributed over 62%
of the USD 1 billion sent to the country. [6]

Migrant women typically spend their earnings differently than men. Women
tend to remit money mostly for daily needs, health care and education while
men spend their money on consumer items such as television sets and cars, as
well as property investments. [7]

Migration and remittances are also transforming gender roles. Women
recipients of remittances from their spouses or partners have a greater
control over household budgets and are able to purchase and exercise
control over property. For instance in Kerala, India, women who received
remittances from their husbands in the Gulf States said that the
remittances 'raised their authority and status: 70 per cent had opened
their own bank accounts, 40 per cent had their own income, and half held
land or homes in their own names.'[8]

The attitudes, opinions and knowledge that migrant women acquire abroad
also contribute to development. According to the World Bank, improved child
health and lower infant mortality rates in Guatemala, Mexico and Morocco are
directly related to the health education that women migrants receive in
their host countries. [9]

Collective migrant programmes specifically aimed at improving women's lives
are rare. An exception is the Netherlands Filipino Association Overseas
which supports poor women back home by providing micro-credit facilities.
Generally though, migrant women are excluded from decision making at both
ends and 'men manage most of the associations in host and destination
countries, while women take on secretarial, fundraising and event
organizing roles.' [10]

The UNFPA's 2006 report on the state of world population calls women's
migration a mighty but silent river and declares that 'the money that
female migrants send back home can raise families and even entire
communities out of poverty.' [11] Remittances are challenging perceptions
about reliance on ODA for development. However for poor countries to
benefit fully and fairly from remittances, women's contribution needs to be
acknowledged and facilitated by ensuring proper work terms and conditions,
ensuring ease of remittance and valuing their input.


________________

Notes:

1. United Nations Population Fund 'A passage to hope: Women and
international migration' State of World Population Report:  2006.
2. van Doorn, Judith 'Migration, Remittances and Development.'
International Labour Organization: 2002
3. Ibid.
4. Ibid.
5. Ibid 1.
6. Ibid.
7. Ibid.
8. Ibid.
9. Ibid.
10. Ibid.
11. Ibid.